Sunday, March 22, 2009

US Treasuries - the next bubble?

It is not safe to invest in US Treasuries. When inflation returns, this investment will also drop in value. It may be safer to invest in stocks now. Read this article.

2 comments:

David said...

Read this link:

http://futurefastforward.com/feature-articles/1201

ym said...

Hi Mr Tan,..
yes, its better odds to go into stocks now than say 6mths ago... however, equities can easily tank another 30%...

about US treasuries, i am not sure if there is a bubble.. yeilds are low... but real yields is high because of falling prices..

also, do you think ben bernanke will let interest-rates go up in say next 2 years?..

central bankers worldwide is pulling every trick to keep interest-rates low.. and the reason for them to do so is to bailout banks, pump money-out-of-thin-air into the economic system...

all i can emphasize is that all this money printing (ie exchanging something for nothing) is damaging to the real economy,..

risk is still very high...


ym
mises.org

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